Revenue during the quarter went down marginally by 0.10 percent to $191.60 million from $191.80 million in the previous year period. Gross margin for the quarter expanded 108 basis points over the previous year period to 33.14 percent. Total expenses were 88.20 percent of quarterly revenues, down from 88.22 percent for the same period last year. This has led to an improvement of 1 basis points in operating margin to 11.80 percent.

Operating profit was unchanged at $22.60 million for the quarter, compared with the previous year period.

However, the adjusted operating income for the quarter stood at $26.20 million compared to $24.30 million in the prior year period. At the same time, adjusted operating margin improved 100 basis points in the quarter to 13.67 percent from 12.67 percent in the last year period.

"We are very pleased with our second quarter performance, as we resumed delivering double-digit growth in Adjusted EBITDA," said Jack Bendheim, Phibro's Chairman, President and Chief Executive Officer. "Our core Animal Health segment grew revenue 2%, and I want to especially recognize our U.S. Animal Health business which delivered both top line and bottom line growth in a quarter where our industry prepared to fully align itself with the voluntary removal of production claims on medically important antibacterials.

For the financial year 2017, Phibro Animal Health Corporation forecasts adjusted revenue to be in the range of $750 million to $770 million and expects adjusted net income to be in the range of $55 million to $58 million. The company forecasts adjusted operating income to be in the range of $95 million to $99 million. It expects diluted earnings per share to be in the range of $1.38 to $1.45 on adjusted basis.